Polar Power, Inc. key statistics and ratios

In fiscal 2025, Polar Power, Inc. had an operating margin of -133.6%, debt equal to 2802.8% of equity and a current ratio of 0.97. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

Polar Power, Inc.: financial ratios, annual
Fiscal year	2016Dec 2016	2017Dec 2017	2018Dec 2018	2019Dec 2019	2020Dec 2020	2021Dec 2021	2022Dec 2022	2023Dec 2023	2024Dec 2024	2025Dec 2025	LTMJun 2026
Gross margin	44.7%	33.0%	30.9%	19.8%	−62.3%	20.4%	13.2%	4.5%	9.4%	−50.1%	−78.1%
Operating margin	32.5%	−5.6%	−4.6%	−16.1%	−143.6%	−18.3%	−34.5%	−39.2%	−31.3%	−133.6%	−191.7%
Net margin	19.3%	−5.3%	−3.5%	−16.3%	−120.4%	−8.4%	−34.8%	−42.8%	−33.5%	−144.9%	−207.9%
Free-cash-flow margin	2.0%	−13.4%	−35.0%	−10.1%	−72.7%	−55.9%	−40.7%	−23.7%	−4.0%	−16.8%	−48.6%
Return on equity	18.6%	−3.3%	−3.7%	−19.8%	−72.8%	−8.1%	−27.0%	−41.7%	−43.1%	—	—
Return on assets	16.5%	−3.0%	−3.4%	−16.6%	−52.6%	−6.3%	−21.7%	−26.5%	−21.9%	−65.3%	−93.1%
Asset turnover	0.86	0.56	0.97	1.02	0.44	0.75	0.63	0.62	0.65	0.45	0.45
Current ratio	9.37	15.80	11.91	6.98	3.24	7.41	3.92	2.15	1.82	0.97	—
Debt to equity	1.5%	1.5%	6.7%	7.8%	19.2%	3.2%	11.8%	32.6%	—	>999%	340.3%
Interest cover (operating income ÷ interest)	65.8x	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m	n/m
Effective tax rate	39.4%	—	—	—	—	—	—	—	—	—	—
R&D as % of revenue	0.9%	9.3%	7.9%	9.2%	19.1%	11.8%	9.1%	8.0%	5.5%	10.2%	13.8%
Capital spending as % of revenue	0.7%	2.4%	2.4%	1.4%	0.2%	0.4%	0.2%	1.3%	0.1%	0.0%	0.0%
Free cash flow ÷ net income	10.5%	—	—	—	—	—	—	—	—	—	—

US$ thousands unless shown otherwise. Fiscal quarters.

Polar Power, Inc.: financial ratios, quarterly
Quarter	2024 Q3Sept 2024	2024 Q4Dec 2024	2025 Q1Mar 2025	2025 Q2Jun 2025	2025 Q3Sept 2025	2025 Q4Dec 2025	2026 Q1Mar 2026	2026 Q2Jun 2026
Gross margin	29.0%	−58.7%	18.6%	34.3%	—	—	65.7%	−33.1%
Operating margin	0.8%	−110.5%	−63.9%	−4.1%	−304.6%	−555.7%	1.4%	−164.0%
Net margin	0.3%	−116.3%	−73.4%	−10.0%	−320.9%	−585.3%	−10.3%	−179.7%
Free-cash-flow margin	−12.0%	−5.2%	—	−14.9%	31.3%	−78.7%	−126.8%	2.0%
Current ratio	2.19	1.82	1.64	1.61	1.25	0.97	1.23	—
R&D as % of revenue	3.5%	7.1%	9.3%	5.4%	12.3%	30.5%	9.8%	12.6%

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

0 of 1 checks passed · June 30, 2026

What it owns · $10m

Short-term assets $10mLonger-term assets $0m

What it owes, and who funded it · $1m

Shareholders' equity $1m

Short-term assets cover short-term liabilities The company doesn't report a short-term split. Not assessable.
Short-term assets cover long-term liabilities Not assessable from the reported split. Not assessable.
More cash than debt Cash or debt not separately reported. Not assessable.
Debt below 40% of shareholders' equity Equity or debt not reported. Not assessable.
Debt burden no higher than five years ago Five-year comparison not available. Not assessable.
A year's operating cash flow covers at least 20% of debt Cash flow or debt not reported. Not assessable.
Operating profit covers interest at least five times over Operating income of −$9m against $1m of interest.

From Polar Power, Inc.'s latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

11 /100

Weak moat

How hard Polar Power's competitive advantage looks for rivals to wear away, judged from 10 years of its own filings: returns on capital, pricing power, profit durability, cash conversion and discipline.

Returns on capital 0 / 20

Cash operating profit has been a median -16.0% of total assets over 9 years.
Pricing power 0 / 20

Gross margin has been a median 11.4%, moving by 34.5 percentage points (standard deviation) across 10 years.
Durability 10 / 20

Operating margin has been a median -31.1%; its worst year was -191.7%.
Cash conversion 1 / 20

Free cash flow was positive in 1 of 8 years, at a median -13.9% of revenue.
Discipline 0 / 20

The diluted share count rose 113.5% over five years; stock-based pay has been a median 31.1% of revenue.

AI disruption exposure: Low. In this industry, the business rests on physical assets, regulated networks or products AI itself depends on.

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

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Figures from Polar Power, Inc.'s SEC filings (10-K and 10-Q), retrieved October 29, 2026. How we read and check them: methodology and data sources. Not investment advice. Back to Polar Power, Inc.